Mapping Out Your Finances
A common misconception people have about financial planning is that it is a good to have activity.
And as mentioned, this is one of the greatest financial mistake you could possibly make for yourself.
It is disheartening to say this but the image has been badly damaged due to aggressive sales individuals in the past.
But that is not a reason to leave your planning aside.
Think of this…
When you want to buy a brand new car, what are the steps that you take?
I’m sure as any sensible person; you’re not going to take your entire savings to pay for the car?
You would consider the amount of savings you can set aside for the car, calculate the loan principle and interest, and factor in the percentage of your savings to set aside.
Now in Singapore owning a car is considered a luxury item for many as the COE (Certificate of Entitlement) can be seen as something extremely costly…
Yet the demand is high as many aspire to own one for the convenience and prestige it brings.
The same should be said about your financial lifestyle shouldn’t it?